LONDON (Thomson Financial) - Airbus and Boeing Co are in almost daily talks
with airlines seeking to cancel or defer deliveries, the Wall Street Journal
quoted unnamed officials at the planemakers as saying, adding that up to a third of new orders could be shelved.
Steven Udvar-Hazy, chairman of aircraft-leasing giant International Lease
Finance Corp, told the newspaper he believes 25 to 30 percent of their combined order books could be subject to what he called the "flake-out factor" if oil prices continue their sharp rise.
The rival manufacturing giants have collected orders for almost 7,000 jets.
For now, both say they are sold out for much of the next three years and are
continuing with plans to raise production rates to meet demand.
But large-scale cancellations and deferrals could amount to tens of billions
of dollars and affect suppliers of engines and other parts in addition to the
jet makers, the newspaper noted.
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